Telecommunications and internet group SoftBank invested $100m in Brazil-based on-demand ride ordering platform 99 yesterday.
Founded in 2012, 99 has built an app-based ride hailing service spanning both registered taxi drivers and peer-to-peer lift sharing that operates in approximately 400 Brazilian cities. It has more than 14 million registered users and more than 200,000 drivers in its network.
The investment represents an extension of the $100m+ round 99 closed in January this year, which was led by China-based ride hailing company Didi Chuxing and backed by growth equity firm Riverwood Capital.
Mobile chipmaker Qualcomm and venture capital firm Monashees invested an undisclosed sum in 99, then known as 99Taxi, in 2013, before 99 raised $25m from Qualcomm’s corporate venturing arm Qualcomm Ventures, Monashees and Tiger Global Management two years later.
SoftBank, which reached the $93bn first close of its Vision Fund last weekend, is one of the most prominent investors in the on-demand ride industry and now holds shares of 99 as well as Didi Chuxing, Singapore-based Grab and India-based Ola.
David Thévenon, managing director at SoftBank, said: “We see strong growth and a great outlook for the mobility solutions sector in Latin America.
“The 99 team has made impressive progress in Brazil, now operating in more than 400 cities and bringing positive changes to millions of users. We are committed to supporting local champions like 99, and look forward to participating in their long-term success.”
News of the funding comes two weeks after Cabify, the Spain-headquartered company that is one of 99’s biggest rivals in Brazil, raised $100m of a round it aims to close at $500m.